Welcome back to another day of exploration in the network marketing and MLM industries. I must say, that I’m really enjoying everyone’s opinions, comments, and thoughts on network marketing. If you’re just joining the discussion, my stance is that I will never join a network marketing company because I believe they are a waste of time, money, relationships, and vision. However, over the past couple of days, it’s become more apparent to me that one can make a lot of money in a MLM company if they take the time and effort to make it work for them (Of course, this is true for any business you decide to start).
There are two main avenues of revenue when you start, which are to sell the company’s product(s) and build your network of distributors. Both avenues require a key proponent of business success which is to network. By networking you can build trust, develop a brand, position yourself as an expert, and generate sales more easily than you would through a sales “cold call.” Let’s look at a couple of ways people build their network in a network marketing business.
Home Shows/Parties
Mary Kay Home Show
According to Rod Nichols (no relation), columnist of Entrepreneur.com,
Most network marketers are focused on getting new business online, but home parties will move you from high-tech to high-touch. It’s an opportunity to see, touch and try the products, ask questions and receive immediate answers, and hear others’ opinions.
In my research homes shows seem to be the most popular method of sales and recruitment. Photo courtesy of Lakes Area Home & Garden Show
Affiliate Websites/Internet Marketing
Example Affiliate Websites
Most companies will give you what’s called a “duplicate website,” which is a template of their main website. It comes with standard product information and includes your contact info or an affiliate link so you get commission for any sales.
They also tend to have “back door” information that offers discounts on purchases when a buyer visits and becomes a distributor.
Sales Kits
This doesn’t necessarily build your network, but it does help in getting the word out about the company, the product(s), and your contact info for commission on sales and recruitment.
Kits typically include business cards, fliers, pamphlets, brochures, and samples of key products to give a buyer a good overview of what you have to offer. I even received a kit (today as a matter of fact) that included the compensation plan in-case I wanted to join the organization.
Reason #3 Why I won’t invest in a network marketing business – connections doesn’t equal sales (relationships with customers)
My good friend, Laurinda Bellinger summed up my issue with the relationships you build with your customers in network marketing by saying this;
“…more people care more about business than building relationships. To build relationships you have to care about the person, not what they can do for you.”
In personal branding, when you create trust and build relationships with people you attract sales and lifelong connections naturally. In network marketing you focus on the sale that you come off unnaturally excited or aggressive towards a customer or potential recruit which hurts sales in the end. Some people get so fixated on the money that they forget to actually “build a kingdom,” and not just stock it with goods.
Reason #3 Why you might invest in a network marketing business – connect with like-minded individuals (relationships with other network marketers)
Network marketing allows you the opportunity to interact and build friendships with people that are after the same thing you are. By building these relationships over time you can develop a large support group of like-minded individuals.These people can be detrimental to your success with advice, resources, and connections to help you succeed.
Biblical Perspective
1 Timothy 6:10 (New International Version) says,
For the love of money is a root of all kinds of evil. Some people, eager for money, have wandered from the faith and pierced themselves with many griefs.
It’s pretty clear that as we seek wealth that we don’t fall in love with money. If you’re going to dive into network marketing, don’t just go for the glitter and gold . . . go in with the desire to be a blessing to others and yourself.
Did I miss something? What other tools are available for the network marketer? I didn’t mention conferences and meetings up top, but are they good places to build your network or just good for getting excited about the company and its products? Sound off in the comments below!
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About the Author
Rod
